System and Method for Blockchain Automatic Tracing of Money Flow Using Artificial Intelligence

A method comprising:

• receiving blockchain transaction data from a blockchain ledger to a transaction database, the blockchain transaction data including blockchain addresses, transaction identifications, transaction timestamps, and digital assets transferred;
• receiving intelligence labels from a blockchain ecosystem intelligence database, wherein the intelligence labels include known behavioral characteristics of entities associated with the blockchain addresses;
• selecting a blockchain transaction flow comprising the blockchain transaction data associated with a digital account source address, digital account intermediate addresses, a digital account destination address, and intermediate transactions, wherein the intermediate transactions transfer the digital assets between the digital account source address and the digital account destination address;
• receiving input trace parameters, wherein the input trace parameters include at least one of an objective directional setting, a tracing constraint, and a transaction filter based on the transaction timestamps and the digital assets transferred;
• applying the intelligence labels to the digital account source address, the digital account intermediate addresses, and the digital account destination address, thereby creating labeled account addresses;
• generating an interactive journey board of the blockchain transaction flow based on the input trace parameters, including paths of the digital assets in the blockchain transaction flow between the blockchain addresses, wherein at least one of one or more of the paths, and portions of paths, may be selected for the journey board by a user.

A computing apparatus comprising:

• a processor;
• and
• a memory storing instructions that, when executed by the processor, configure the apparatus to:
• receive blockchain transaction data from a blockchain ledger to a transaction database, the blockchain transaction data including blockchain addresses, transaction identifications, transaction timestamps, and digital assets transferred;
• receive intelligence labels from a blockchain ecosystem intelligence database, wherein the intelligence labels include known behavioral characteristics of entities associated with the blockchain addresses;
• select a blockchain transaction flow comprising blockchain transaction data associated with a digital account source address, digital account intermediate addresses, a digital account destination address, and intermediate transactions, wherein the intermediate transactions transfer the digital assets between the digital account source address and the digital account destination address;
• receive input trace parameters, wherein the input trace parameters include at least one of an objective directional setting, a tracing constraint, and a transaction filter, the transaction filter based on the transaction timestamps and the digital assets transferred;
• apply the intelligence labels to the digital account source address, the digital account intermediate addresses, and the digital account destination address, thereby creating labeled account addresses;
• apply an artificial intelligence graph search algorithm to the blockchain transaction flow based on the input trace parameters, to determine an auto-traced path of the digital assets in the blockchain transaction flow;
• generate a report including tracing destination summary statistics of the auto-traced path, the report including suspicious blockchain addresses;
• and
• on condition that the report includes a suspicious blockchain address:
• generate an action including at least one of alerting a user of the suspicious blockchain address, alerting the user to an illicit digital asset transaction associated with the suspicious blockchain address, and suspending transactions by the suspicious blockchain address.